Vince Cable's speech to conference: Live blog

The Business Secretary addresses Liberal Democrat delegates in Birmingham.

QUICK VERDICT: Cable's delivery today was low-key, but were some unmistakeable jibes at the Tories -- the repeated references to fairness, stimulus, and, of course, the reference to the "ideological descendants of those who sent children up chimneys". There was also a sprinkling of Lib Dem populism with the emphasis on social justice, and fairness -- particularly on limiting executive pay and taxing the rich. Notably, he didn't use the Jaguar and Landrover contracts he opened with to say that the economy was on the home-stretch; nor did he indicate that the next phase of difficulty for ordinary citizens is going to be over any time soon.

12.37: Cable has reiterated his commitment to a mansion tax. "When some critics attack our party policy of a tax on properties over £2 million by saying it is an attack on ordinary middle class owners, you wonder what part of the solar system they live in." Greater tax of land and property was a key theme of his speech last year.

12.36: He keeps returning to the idea of "responsible capitalism".

12.35: "Some of you may have noticed one of the big media companies has had a spot of bother" -- Cable makes a nod to his anti-Murdoch stance without courting controversy too much.

12.32: Living costs are falling, he says, and there is a sense of grievance that workers are paying for a crisis they did not create.

12.31: Cable is talking about investment in infrastructure -- the "stimulus" section of his speech. It's not a word used often by George Osborne, it must be said.

12.29: How do we progress from financial stability to growth, asks Cable. "Panic in the markets will not be stopped by stopping maternity rights," says Cable, assuring delegates he will not provide cover for unscrupulous business-people -- the "ideological descendents of those who sent children up chimneys". This is a jibe at Steve Hilton for some of his more unconventional ideas on workers' rights.

12.26: Cable is criticising the idea that cutting taxes for the wealthy will improve the country's wealth. On the idea that this will encourage tax avoiders back from Monaco, he says: "Pull the other one". Playing to the Lib Dem faithful here.

12.23pm: Vince Cable is calling for "stability, stimulus, and solidarity" to help the economy recover and create a "responsible capitalism". He is criticising Labour's record and saying that financial discipline is not necessarily "right-wing" or "ideological". He says he thinks they are following in the steps of Roy Jenkins. "The progressive agenda of centre left parties cannot be cannot be delivered by bankrupt governments" -- but the really important word here is "stimulus".

12.05pm: Join us at 12.20pm for live updates on Vince Cable's speech. You can read the full transcript of it here.

Samira Shackle is a freelance journalist, who tweets @samirashackle. She was formerly a staff writer for the New Statesman.

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The UK is dangerously close to breaking apart - there's one way to fix it

We must rethink our whole constitutional settlement. 

When the then-Labour leader John Smith set up a report on social justice for what would be the incoming government in 1997, he said we must stop wasting our most precious resource – "the extraordinary skills and talents of ordinary people".

It is one of our party’s greatest tragedies that he never had the chance to see that vision put into practice. 

At the time, it was clear that while our values of equality, solidarity and tolerance endured, the solutions we needed were not the same as those when Labour was last in power in the 1970s, and neither were they to be found in the policies of opposition from the 1980s. 

The Commission on Social Justice described a UK transformed by three revolutions:

  • an economic revolution brought about by increasing globalisation, innovation and a changing labour market
  • a social revolution that had seen the role of women in society transformed, the traditional family model change, inequality ingrained and relationships between people in our communities strained
  • a political revolution that challenged the centralisation of power, demanded more individual control and accepted a different role for government in society.

Two decades on, these three revolutions could equally be applied to the UK, and Scotland, today. 

Our economy, society and our politics have been transformed even further, but there is absolutely no consensus – no agreement – about the direction our country should take. 

What that has led to, in my view, is a society more dangerously divided than at any point in our recent history. 

The public reject the status quo but there is no settled will about the direction we should take. 

And instead of grappling with the complex messages that people are sending us, and trying to find the solutions in the shades of grey, politicians of all parties are attached to solutions that are black or white, dividing us further. 

Anyone in Labour, or any party, who claims that we can sit on the margins and wait for politics to “settle down” will rightly be consigned to history. 

The future shape of the UK, how we govern ourselves and how our economy and society should develop, is now the single biggest political question we face. 

Politics driven by nationalism and identity, which were for so long mostly confined to Scotland, have now taken their place firmly in the mainstream of all UK politics. 

Continuing to pull our country in these directions risks breaking the United Kingdom once and for all. 

I believe we need to reaffirm our belief in the UK for the 21st century. 

Over time, political power has become concentrated in too few hands. Power and wealth hoarded in one corner of our United Kingdom has not worked for the vast majority of people. 

That is why the time has come for the rest of the UK to follow where Scotland led in the 1980s and 1990s and establish a People’s Constitutional Convention to re-establish the UK for a new age. 

The convention should bring together groups to deliberate on the future of our country and propose a way forward that strengthens the UK and establishes a new political settlement for the whole of our country. 

After more than 300 years, it is time for a new Act of Union to safeguard our family of nations for generations to come.

This would mean a radical reshaping of our country along federal lines where every component part of the United Kingdom – Scotland, Wales, Northern Ireland and the English regions – take more responsibility for what happens in their own communities, but where we still maintain the protection of being part of a greater whole as the UK. 

The United Kingdom provides the redistribution of wealth that defines our entire Labour movement, and it provides the protection for public finance in Scotland that comes from being part of something larger, something good, and something worth fighting for. 

Kezia Dugdale is the leader of the Scottish Labour party.